(TheRedAlertNews.com) – Billionaire and investment guru Charlie Munger, Vice Chairman of Warren Buffet’s conglomerate Berkshire Hathaway, has passed away at the age of 99, a month before turning 100.
Berkshire Hathaway announced Munger’s passing on Tuesday through a press release.
The statement from the company quoted Munger’s family as revealing that he died peacefully Tuesday morning at a hospital in California.
His 100th birthday would have been on New Year’s Day.
A preeminent figure in investing, Munger made a fortune even before his partnership with Warren Buffett, CNBC points out in a report.
“Berkshire Hathaway could not have been built to its present status without Charlie’s inspiration, wisdom and participation,” 93-year-old Buffet said.
Munger’s career was multifaceted: he served as the vice chairman of Berkshire, was an accomplished real estate attorney, and held positions such as chairman and publisher of the Daily Journal Corp., and a member of Costco’s board.
He was also known for his philanthropy and architectural interests. As of early 2023, his net worth was estimated at $2.3 billion.
Although significantly less than Buffett’s estimated $100 billion, Munger’s wealth is still deemed extraordinary.
During the 2021 annual shareholder meeting of Berkshire, Munger, then 97, inadvertently revealed a significant company secret: Vice Chairman Greg Abel is slated to “keep the culture” post-Buffett era.
Munger, recognizable for his thick glasses, lost his left eye due to complications from a cataract surgery in 1980.
Buffett has acknowledged Munger’s influence in evolving his investment strategy, the report points out.
Initially, Buffett focused on acquiring struggling companies at low prices for a profit, but Munger guided him towards investing in higher-quality but undervalued companies.
A notable example of this shift was in 1972, when Munger persuaded Buffett to approve the purchase of See’s Candies for $25 million, despite its modest annual pretax earnings of around $4 million. This investment has generated over $2 billion for Berkshire.
Munger, like Buffett, was a source of wisdom, often infusing his insights with humor, reminiscent of one of his idols, Benjamin Franklin.
“I have a friend who says the first rule of fishing is to fish where the fish are. The second rule of fishing is to never forget the first rule. We’ve gotten good at fishing where the fish are,” Munger said at the 2017 Berkshire meeting,
Munger also believed in the concept he termed the “lollapalooza effect,” where multiple factors converge to influence investment psychology.
